Qe the Liquidity trap and why contractors will pay more in tax

[motoukenin]

Really?

Yes really.

Definition of QE:


The central bank buys assets, usually government bonds, with money it has "printed" - or, more accurately, created electronically.
It then uses this money to buy bonds from investors such as banks or pension funds. This increases the overall amount of useable funds in the financial system. Making more money available is supposed to encourage financial institutions to lend more to businesses and individuals.
It can also push interest rates lower across the economy, even when the central bank's own rates are just about as low as they can go. This in turn should allow businesses to invest and consumers to spend more, giving a knock-on boost to the economy.